Asas Makeen receives 9 white land invoices worth SAR 8M

Logo of Asas Makeen Real Estate Development and Investment Co.

Asas Makeen Real Estate Development and Investment Co. received today, Feb. 16, nine invoices to date for so-called white land fees totaling SAR 8 million, related to plots located within the program’s designated geographic zones.

In a statement to Tadawul, the company said the fees are not expected to have a material financial impact given their size relative to its portfolio and assets, and that the obligations will be reflected in the financial statements for the relevant period.

The company said the invoice amounts will be recorded as liabilities under approved accounting standards, adding that the plots, located in Riyadh within the designated fee zone, form part of its future development plans and are undergoing the required development procedures in line with applicable regulations.

Three of the invoices, totaling SAR 1.1 million, relate to projects that have already received occupancy and completion certificates, while six invoices totaling SAR 6.9 million were issued due to obstacles preventing the issuance of licenses and approvals needed to develop or build on the land.

As the plots are under development and, in the company’s view, do not fall under the definition of “white land” in the executive regulations, Asas Makeen said it plans to file objections within the statutory 60-day period and pursue the necessary legal procedures.